FIDIC has launched three new agreements aimed at offering guidance and the relevant assistance to the Consulting Engineering industry on the appropriate methods for collaboration in services offered to their clients and connected parties globally. The Consulting Engineering sector has become a worldwide entity in both its business methods and ties. Systems of best practice are becoming increasingly vital, both domestically and abroad and FIDIC prepares tools and the necessary advice for its members and the consulting firms.
Firstly, the New Client/Consultant model service agreement (The White Book) is for the general use of most services offered by consulting engineers. These include pre-investment and feasibility studies, detailed design, construction administration and project management. This is suitable for both employer or contractor led design teams on any kind of design and build commissions. This agreement is equally suitable for use on both international and domestic projects.
This edition of the White Book, the fifth edition, has improved the “duty of care” requirements on the Consultant when providing certain services to a client. Through this FIDIC has taken these issues into consideration, all of which are of importance to consulting engineers worldwide.
- up to date practice worldwide in drafting consultancy agreements
- a fair balance of risk between the Client and the Consultant
- the professional’s obligation with respect to due skill and care, and fitness for purpose
- the availability of suitable insurance
FIDIC has accepted the influence of some parts of the industry and responded by increasing the obligations to the consultant, aiming to ensure that the professional services and deliverables achieve their required goals.
Secondly, the FIDIC joint venture agreement in which FIDIC has developed model forms for two types of associations between service suppliers – this Model Joint Venture Agreement and a Model Sub-Consultancy Agreement. The action, capacities and internal decision making processes present within the Joint Venture have been structured very deliberately and one of the reasons for such a model agreement is to increase the awareness of the Members of the Joint Venture when considering what should be included in the agreement to mitigate risks individually and to avoid disputes between themselves as interested or collaborating parties. A further purpose is to give these members a workable agreement which clearly establishes clear responsibilities and legal capacities to act. This is also targeted at avoiding disputes and deadlocks between members.
Finally, the Sub-Consultancy Agreement has been developed from this, the fifth (2016) edition of the Client/Consultant Model Services Agreement and is designed to be implemented when a consultant who is appointed under the “White Book” has a wish to engage a Sub-Consultant to perform part of the services.
Newly introduced models are designed to offer guidance and practical assistance to the industry for collaboration in the provision of services to clients and communities anywhere in the world.